Who Really Controls the Panama Canal? The Truth Behind Trump’s Claims

With President Trump back in office, political rhetoric around expanding U.S. influence and securing key geopolitical assets has intensified. Recent claims about Chinese control of the Panama Canal and alleged discrimination against American vessels have stirred debate among shipping insiders and the public alike. During his January 2025 inaugural address, Trump alleged that “American ships are being severely overcharged and not treated fairly” and claimed “China is operating the canal.”

But do these claims hold water?

The Reality of Panama Canal Tolls

Maritime expert John McCown points out that the canal’s toll structure strictly adheres to anti-discrimination requirements established by the 1977 Neutrality Treaty between Panama and the U.S. In a recent editorial published by the Center for Maritime Strategy, McCown explains that while toll rates have risen significantly since Panama assumed control from the U.S. in 1999, these changes reflect necessary infrastructure investments—most notably the 2016 expansion project to accommodate larger ships.

“The expansion under Panamanian management required recovering significant additional capital and operating costs,” Mc…